A freak tornado has smashed into Europe's largest steel plant in the Italian city of Taranto, leaving one person missing and dozens injured.

Video footage shows the storm rolling in off the sea and tearing through the port city before hitting the huge IVLA site.

It brought down a chimney stack and caused significant damage to buildings at the factory's docks.

A total of 38 people - including 20 staff at the plant - are reported to be injured and divers have been searching for a worker who is unaccounted for after a dockside crane collapsed.

Three other people on the crane were rescued.

One worker is unaccounted for

The sudden storm filled the sky with grey swirls of cloud that ripped across the harbour.

It is the latest blow to IVLA, which has become one of the most pressing issues confronting the government of Prime Minister Mario Monti.

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Gallery: Tornado Tears Through Italian Port

Damaged cars pile up on top of each other after a tornado ripped through the Italian port city of Taranto.

Workers stormed the plant on Tuesday to protest about a planned closure announced on Monday. Managers have been attempting to address health concerns amid reports of an elevated incidence of cancer in the area.

The government wants to save the factory, which employs around 20,000 people in a region of high unemployment, saying its closure would have devastating effects on the wider economy.